I think that such a system could work for my boardless game. Combat would stretch out more, which is what I want (my original experiment actually seemed too short). I have experimented with Viktory inspired rules before but they seemed too bloody. For a super quick-play set of rules, bloody is good. I may have to experiment.
On another note, I am thinking of playing an occasional board-less wargame on a board, I would use a stand to represent a morale point. Terrain would be fairly abstract. I may pull out some of my 2mm stands. I then recalled some battle reports on A Wargaming Odyssey where the poster used blocks (e.g. this report). I may make up some blocks of my own, although I may use some Junior General top-down paper minis.